Helping small and medium-sized enterprises move up the value chain and improve their competitiveness has been a longstanding policy to jump-start the economy.
Government policymakers say the flexibility of smaller companies is a major advantage for SMEs in responding to today's rapidly changing consumer markets.
But Kosit Panpiemras, the executive chairman of Bangkok Bank, says flexibility for small firms isn't enough to overcome other obstacles - what is really needed are stronger linkages allowing small firms to band together.
"Developing the sector requires building networks of small companies, where the whole is greater than any single firm," he said.
Clusters would allow companies to benefit from marketing and supply links, but also in the sharing of knowledge, technology and experience as well.
